What's a Facebook Follower Worth?

10/11/2012 1:34PM

Figuring out the value of a Facebook fan has become more complex for many small-business owners, ever since the social media giant began asking businesses to pay to "promote" their posts. Sarah Needleman reports on Digits. (Photo: AP)

This transcript has been automatically generated and may not be 100% accurate.

... I ... the ... it's a Facebook ... actually walk ... back to Digits sock on so ... and so the question what's the deal ... was a pleasure thanks me ... so ... what is Facebook ... it's a very good question and what we're finding is that is something that my mystery ... when the thing is Facebook all that a new program and a ... call to my posted what this does is on businesses pay anywhere from five dollars to several hundred dollars ... to ... make sure that their posts are seen by ... people who like their business ... and some cases ... friends' Facebook friends of those people ... and what we found out is that the stock actually tells us only about sixteen percent of the businesses ... of followers actually see their posts ... to let this doesn't keep AEU cakes and I reach to a much higher level penny at how many people you're trying to renounce actually upset some businesses ... there was this a bill that instructed Anna and then switch back with a swift while I was the business is on I've been attracted to Facebook like the company's because it's free to join Anna Hassett a huge user base ... and small businesses because the fact it's free and they have limited resources and we rebel entire marketing campaigns around Facebook ... so they're a little taken back when they found out that first ball when they put out a post ... only a small percentage of their fans are actually seeing it or if they're getting their news feeds ... and the elevator but in fact that Facebook saying now ... Heilweil of money from you that if you wanna reach a broader audience ... I the finish you be able to reach their full audience ... as it is ... so it's it's very ... difficult for them because unlike the companies they don't have a lot of time and resources to ... put toward this and so it's it's takes some them up they do feel that they've been drawn in for free now ask the ask and so it is interesting to me a movement fully Facebook for a long time don't binge especially since the very beginning of digits aam and then the Facebook ... frequently upsets me the uses the baby boy you may have noun that subsiding the business of the people pay money ... to keep it going on BBM Basseley beefy Pfizer for and so I mean there is this is can do it is the defense will go where was the good ... news of suddenly go over well Facebook is looking for ways to Mana ties we know it's not as stock prices been sagging ... and its engine is the number of new features that costs money ... I to generate revenue ... aam that some these features in this one in particular has ... Upper number of business owners because for some that he didn't realize that only about sixteen percent of their followers see their posts to begin with ... and now they're finding out that if they wanna reach even more ... they have to pay ... and so on for some baseball business is it means that they can afford to stay to spend as much as larger rivals ... and therefore they are there any disadvantage ... this is the truth with all sorts ... of ... advertising gold in the way so ... we'll see how that works out thank you very much of the war is not a bowl of Sarah Needleman